2013 Maryland Code
AGRICULTURE
§ 10-1504 - Application for credit.

§10-1504.

(a) To be eligible for credits under this subtitle, an ethanol or biodiesel producer shall apply to the Board for certification on an application provided by the Board.

(b) An applicant shall show in the application to the satisfaction of the Board:

(1) That the applicant will construct or operate a facility capable of producing ethanol or biodiesel;

(2) That the applicant will invest or has invested substantial resources in the State in connection with the facility;

(3) That the facility will constitute a permanent fixture in the State;

(4) For an ethanol production facility, information demonstrating:

(i) The production capacity of the facility; and

(ii) The quantity and availability of small grains and other suitable agricultural products in the vicinity of the production facility that may be used by the facility;

(5) For a biodiesel production facility, information demonstrating:

(i) The production capacity of the facility; and

(ii) The quantity and availability of soybean oil and other suitable bio-based oils in the vicinity of the production facility that may be used by the facility;

(6) Information demonstrating:

(i) The availability and cost of energy sufficient to operate the facility;

(ii) The availability of sufficient water and waste disposal systems for the facility;

(iii) The availability of sufficient labor and a qualified site manager for the facility; and

(iv) That the facility will meet all State and federal environmental standards;

(7) Any proposed marketing agreements for the ethanol or biodiesel products;

(8) A plan to give farmers in the State the opportunity to invest in the facility; and

(9) That the applicant will meet any other requirement established by the Board.

(c) The Board shall:

(1) Review each application submitted under this subtitle;

(2) Approve or deny the application within 60 days of receipt of the application; and

(3) For an approved application, certify the producer as eligible for a credit in an amount that is:

(i) Based on the production capacity of the facility, as determined by the Board; and

(ii) Consistent with subsection (d) of this section.

(d) (1) The Board may not certify ethanol production credits for more than a total of 15,000,000 gallons per calendar year, of which at least 10,000,000 gallons shall be produced from small grains.

(2) The Board may not certify biodiesel production credits for more than a total of 5,000,000 gallons per calendar year, of which at least 2,000,000 gallons shall be from soybean oil produced:

(i) In a facility that began operating after December 31, 2004; or

(ii) Under the expanded capacity of a facility, the expansion of which occurred after December 31, 2004.

(e) (1) If eligible, a producer may apply to the Board for certification for additional credits if the producer increases the production capacity of the facility.

(2) If a facility does not achieve its certified production capacity for 2 consecutive years, the Board may revise the stated production capacity of the facility and the corresponding credit certification of the producer to reflect actual production.

(f) An application submitted to the Board under this section is not subject to disclosure under the Maryland Public Information Act.